From Deseret News archives:
UTA bond rated 'AA' by 1 of 3 agencies
Fitch Ratings issued the grade on this year's bond and said in a press release that the rating reflects "the strength and diversity of the authority's service area in Utah's economic epicenter (the Wasatch Front), the pledge of growing sales tax revenue that currently provide ample coverage, and the demonstrated record of successfully and conservatively managing transit service operations and expansion."
The ratings are based on a number of criteria that include current and future performance evaluations, risk of loss or default and ability to meet financial commitments.
Carrie Bohnsack-Ware, spokeswoman for UTA, said the rating was "very good" and the same one received on last year's bond.
"This company ... hasn't given any higher rating than 'AA' to any municipal transit agency in the country," Bohnsack-Ware said.
Revenue generated by the bonds will go toward expansion goals that include the FrontRunner South (SLC to Provo) line, light-rail extensions and other system improvements.
Rand Jolley, a Wachovia Securities branch manager in Salt Lake City, said the 'AA' rating is very strong and definitely "investment grade."
"Municipal bonds are very attractive to folks in a high-tax bracket," Jolley said. "Since there is no state or federal tax applied to interest income on bonds, it outperforms other options that may have higher interest, but no tax advantages."
Bohnsack-Ware said that an additional benefit of the the high bond rating is that it will help save taxpayer dollars.
E-mail: araymond@desnews.com
Comments
- Can 65 be considered young now? 12:14 p.m.
- Marriage: having each other's back 12:13 p.m.
- Presidential libraries open history 12:04 p.m.
- Know any RMs playing in the FBS? 11:52 a.m.
- Dead Poets Society founder on tour 11:51 a.m.
- Considering adoption? 11:49 a.m.
- Social events become solitary 11:43 a.m.
- USA Today poll 11:33 a.m.
- US says sanctions possible for Iran 11:13 a.m.
- TCU stays 4th in AP; Y. 19th, U. 23rd 11:12 a.m.
- SLC council OKs gay rights policies
359 - BYU happy to escape with victory
210 - Editorial: Mormons and gay rights
200 - TCU creams U.
177 - Will state consider gay rights law?
148 - Can BYU root for (ick) Utah Utes?
130 - Letters: Strange breed in Utah
130 - Utes remain silent about BCS
120 - Celtics crush Jazz
104 - RSL heads to MLS title game
93
If you are looking for a bird on the cheap, the following specials from...
How do you handle kids and contests? Our oldest daughter, 7, is of the...
It's indicative of two at home punishings, that the best that SOME BYU fans...
whittingham is heads and shoulders above Mendenhall in coaching. BYU has...
Yes, I noticed her accent right a way and could not figure out how she came...
Chuck Nunn is right and so Is B.R. from time to time! Fess is a big force...
@ Chuck Nunn....Dude I love your comments! I have seriously enjoyed reading...
Hall is awesome. Great performance against New Mexico. I'm sure a lot...
ole ole ole ole REAL SALT LAKE!!! MLS Champs next sunday!
Why did the D-News change the quotes from Sister Nelson?
Another encouraging game, despite the loss. At least we can see the effort...
didn't get to see the last 2 games, but the poor performance against UNM...

You can be the first to comment on this story.